#bitcoin (BTC) is currently going through a tough period as blockchain data shows that short-term holders are dumping it in large amounts. According to CryptoQuant, over 15,000 $BTC have been moved at a loss this week. On Wednesday, 16,700 BTC were moved to exchanges when the price fell from $106,500 to $103,500. This 'weak hands' behavior is a common sign of panic selling during a downturn, while long-term holders seem to be absorbing the supply.
Bitcoin is currently trading at around $104,500. Analysts say it is in a 'blind spot' phase, as the spot volume difference has been negative since June, indicating that there is still selling pressure, although prices have recently increased. The cryptocurrency is trading in a narrow range between monthly highs of $110,600 and lows of around $100,000. The key levels to watch are $109,000 and $103,000.
Research on the cost basis of short-term holders on the blockchain shows that there may be support between $97,000 and $94,000. This could be a local minimum that takes out liquidation levels below $100,000. The trading desk QCP Capital stated that 'summer blues' may affect volatility as institutions exit the market in July and August. Currently, implied volatility is below 40%, which means prices are likely to remain the same.
